Financial Crime World

Title: Samoa’s AML/CTF Strategy: Blazing a Trail Towards a Safer and Stable Financial Environment

Subtitle: Enhancing Anti-Money Laundering and Counter-Terrorist Financing Measures in Samoa (2016-2020)

Samoa, a Pacific Island nation, is striving to become the leading nation in the practical application of international standards against money laundering and terrorist financing (AML/CTF) in the region. The SAMOA Financial Intelligence Unit and Money Laundering Prevention Authority have formulated a Comprehensive National Strategy (2016-2020) to tackle these issues collaboratively with national agencies, the private sector, and international counterparts.

Vision and Mission

  • Vision: Samoa’s goal is to be the leading Pacific Island Nation applying international AML/CTF standards effectively, safeguarding a stable and secure financial, social, economic, and political environment.
  • Mission: To effectively detect, deter, disrupt, and prevent money laundering and terrorist financing in Samoa through collaborative efforts, strengthening the legislative framework, and engaging the private sector.

Elements of an Effective AML System

An effective AML system relies on the following components:

  • Appropriate Laws: Clear and enforceable laws that outline AML/CTF regulations.
  • Motivated and Informed Authorities: Capable and knowledgeable authority figures committed to enforcing these laws.
  • Engaged Private Sector: Collaborative efforts to ensure that businesses follow AML/CTF practices.

Strategy Objectives

This strategy aims to:

  • Identify and address intelligence gaps.
  • Quantify the value of domestic and foreign proceeds of crime and their related predicate offenses.
  • Enhance private sector interaction.
  • Expand financial institution and designated non-financial business and professions (DNFBPs) supervision.

Key Actions under the National Strategy

  1. Identifying intelligence gaps: Setting up processes to identify emerging and unknown intelligence gaps.
  2. Quantifying the value of proceeds of crime: Assessing the value of domestic and foreign proceeds of crime, including related predicate offenses.
  3. Addressing under-reporting and implementing reporting mechanisms: Encouraging reporting of suspicious transactions and implementing measures to address under-reporting.
  4. Data collections and analysis: Collection and analysis of threshold transaction data.
  5. Legislative improvements: Amending legislation to strengthen the legal framework for targeted financial sanctions related to terrorism and proliferation financing.
  6. Beneficial ownership information: Developing mechanisms to enhance the accuracy and timeliness of beneficial ownership information held by Trust and Company Service Providers (TCSPs) for international businesses.
  7. Empowering TCSPs: Empowering TCSPs to understand their AML/TF risks and implementing training programs.
  8. Dissemination from the Financial Intelligence Unit: Expanding the dissemination of information from the Financial Intelligence Unit to other agencies.
  9. Increased compliance inspections: Increasing compliance inspections and scrutiny on financial institutions and DNFBPs.
  10. Pursuing confiscation actions: Pursuing confiscation actions in more serious cases.

Conclusion

By addressing these areas, Samoa reduces its attractiveness as a destination for money laundering and terrorist financing activities, making the nation and its people safer and economically more stable.